Worldwide corporate dividend payouts reached a record $827.3 billion in the second quarter of 2026, marking a 7.9% increase compared to the previous year, according to the latest “Dividend Watch” report, which is part of the “Capital Group Global Equity Study.” Underlying growth, adjusted for exchange rates, extraordinary dividends, and other technical factors, was 7.5%, exceeding forecasts.
The second quarter is the peak of the global dividend season, and in 2026, dividends paid during this period surpassed the annual totals of previous years, an occurrence last seen in 2011. Growth was also broad-based: 88% of companies worldwide increased their dividends or kept them stable, with an average growth rate of 6%.
In the view of Alexandra Haggard, Head of Product for Europe and Asia-Pacific at Capital Group, global dividends accelerated in the second quarter of 2026, with solid growth across most regions and sectors, as well as strong increases from some of the world’s largest companies. “The boom in artificial intelligence is no longer just driving markets and stock prices; it is also contributing to generating record levels of cash returns for shareholders on a global scale. Active managers like Capital Group are well-positioned to identify companies across different sectors and regions that benefit from higher earnings growth, translating into record dividend payouts. In an environment of uncertainty, active management can help detect resilient companies that distribute dividends and offer investors a reliable source of income, while allowing participation in long-term corporate growth,” she explained.
Sector Trends
The fastest growth in dividend payouts occurred in the technology sector, where the underlying rate increased by 26.3% year-on-year in the second quarter. The artificial intelligence boom is driving strong earnings growth across the global semiconductor supply chain, translating into higher payouts to shareholders; half of the sector’s increase came from the global leader, based in the U.S. Technology is on track to become, for the first time, the second-largest dividend-paying sector behind financials in 2026.
The financial sector remains, for now and by a wide margin, the largest dividend payer. Dividend payouts from its entities increased by $26 billion USD (+10.1%) and were the largest contributors to the record registered in the second quarter. On the other hand, the mining recovery accelerated, helping its dividend payouts increase by 15.1%.
Regional Trends
Geographically, Japan and the broader Pacific region posted the highest dividend growth worldwide, thanks to improved corporate profitability, governance reforms, and constant attention paid to shareholders by publicly traded companies.
The second quarter marks the seasonal peak for dividends in Europe, representing 36% of total dividends paid during that period (compared to 21% for the full year). Underlying growth, at 3.6%, was constrained by cuts in the automotive sector, although solid payouts from banks and financial institutions helped offset this weakness, backed by the sector’s strong recovery and its growing contribution to European shareholder income. And the United States recorded good growth, with an underlying rate increase reaching 8.7%, while emerging markets lagged behind at 4.7%, mainly due to reductions recorded in the Middle East.
For their part, Spanish dividends delivered an excellent performance in the second quarter of 2026, with total payouts reaching $19.4 billion / €16.6 billion, representing an increase of 16.6% in underlying terms (51.7% in nominal terms). Overall, the figure was in line with the 16.1% underlying growth recorded for the first half of 2026 as a whole. As in many other European countries, the financial sector was the main driver of this growth. All companies in our index increased their dividends or kept them stable year-on-year.
Outlook
The outlook remains positive. Capital Group has revised its global dividend forecast for 2026 upward to $2.23 trillion USD (from $2.20 trillion), representing total growth of 6.4% and an underlying increase of 6% (up from the previous 4.7%). Key factors driving this upward revision include higher-than-expected extraordinary dividends, the depreciation of the U.S. dollar, and a shift in dividend policy by a major U.S. semiconductor company.
